The UK government’s public sector borrowing surged beyond forecasts in September, rising by £2.9 billion compared to the same month last year, according to official data. The unexpected increase adds pressure on the chancellor as he seeks to reassure volatile bond markets ahead of next month’s budget announcement. With borrowing reaching £18.3 billion, the figures underscore ongoing fiscal challenges that could complicate efforts to stabilize investor confidence. Economists will now scrutinize whether the spike signals deeper financial strain or short-term volatility.
Higher-than-expected figure will make chancellor’s aim of calming jittery bond markets more difficultBusiness live – latest updatesThe UK government borrowed a higher-than-expected £18.3bn last month, increasing the pressure on John Healey as he attempts to calm jittery bond markets before next month’s budget.Official figures released by the Office for National Statistics on Tuesday said public sector net borrowing – the difference between government spending and income – was £2.9bn higher last month than in August 2025. Continue reading...
